I’m leaving Aeroplan
Aeroplan increases its payouts to its shareholders, I mean “unit holders”, while at the same time sticking it to people who have been loyal in the past. People like my wife, for example, who does not travel much but has been steadily accruing points for some future reward, and in doing so has put up with a lot of crap from Air Canada.
Tough luck: we just changed the rules.
So now what is my incentive to continue being loyal if some future CEO can come along and delete my accumulated miles. Having just broken my trust, why should I now be loyal to Aeroplan?
People have made decisions in the past based on the promise that they were accumulating this quasi-currency we call air miles. It is wrong to take them away. What if a bank said that you were not making enough deposits or withdrawals and therefore they were closing your account and keeping the proceeds?
The Globe story:
Aeroplan Income Fund on Monday announced several changes to its points system and said it’s boosting distributions by 12 per cent.The rule changes relate to the way miles accumulate and expire.
From Jan. 1 onwards, Aeroplan will start date-stamping Aeroplan miles each month and any miles that aren’t redeemed after 7 years will be automatically deducted from members’ balances.
Currently, the average time between a member earning an Aeroplan mile and redeeming it is about two-and-a-half years, the company said.
As well, Aeroplan says it will change its mileage expiry policy to make members use the program at least once every 12 months. This means that, from July 1 onwards, each member will have to use the program â€” either redeeming or accumulating points â€” at least once over the next year to avoid losing the miles they have accumulated.
Members whose accounts expire may re-instate those miles for $30 plus 1 cent per restored mile, effective today. Any Aeroplan member whose account has previously expired can use this reinstatement option.
The changes will â€œencourage members to maximize the value of their everyday spending with Aeroplan’s partners, and welcome some members back to the membership fold,â€ said Liz Graham, vice president of operations.
â€œOur objective is to make the Aeroplan membership card the only loyalty card in our members’ wallets.â€
Aeroplan also confirmed that it is introducing an escalating scale of points required to redeem rewards, beyond the 8-per-cent seat limit on so-called ClassicFlight rewards.
… Montreal-based Aeroplan also said its so-called â€œbreakage rateâ€ â€” miles never redeemed â€” is expected to remain unchanged at 17 per cent, based on preliminary estimates.